Flutterwave, the Nigerian fintech company, has announced plans to invest $50 million in Kenya to drive growth in the country’s payments and remittances sector.
The company has received preliminary approval from the Central Bank of Kenya and is awaiting the issuance of a licence before proceeding with its investment plans.
In an interview in Nairobi, Flutterwave CEO and Co-founder Olugbenga Agboola expressed his excitement about the company’s expansion into Kenya. He stated that the investment would be used to hire new employees, establish a new office, and scale up the company’s infrastructure in the country. Agboola emphasised the potential for growth in Kenya and praised the current administration for its support.
Flutterwave, which currently employs 27 staff in Kenya, has applied for both a payments service provider and remittances licence. These licences would enable the company to facilitate money deposit and withdrawal, as well as electronic funds transfer.
In 2022, Flutterwave faced challenges after the CBK raised concerns about its operations in the country without proper approval. The company also underwent investigations by the Asset Recovery Agency over money laundering allegations. However, these allegations were later cleared.
Agboola acknowledged the difficulties faced by Flutterwave in Kenya but expressed confidence in the company’s ability to overcome them. He described the experience as a “baptism of fire” and noted that Flutterwave sees great opportunities in Kenya and is committed to establishing a presence in the country.
The investment by Flutterwave is expected to provide a significant boost to Kenya’s fintech industry. The company’s expertise and technological solutions have the potential to revolutionise the payments and remittances sector in the country, offering convenient and secure options for individuals and businesses alike.
Kenya has witnessed a growing demand for digital financial services, driven by factors such as a surge in mobile phone penetration and an increased preference for cashless transactions. This presents a ripe market for Flutterwave’s services and positions the company well for success in the country.
The investment also reflects the increasing interest from international investors in Kenya’s fintech sector. Kenya has been recognized as a hub for innovation in financial technology and has attracted significant investments in recent years.
Flutterwave’s approval in Kenya is a significant milestone that will further strengthen our presence in other African markets, including Egypt, South Africa, Nigeria, Rwanda, Tanzania, and Cameroon.
As a leading provider of payment infrastructure for merchants and service providers, we are confident in our ability to deliver exceptional services to our clients.
Our focus is on targeting merchants across various sectors, including entertainment, hospitality, logistics, and health, among others. With our expertise and experience, we are poised to revolutionise the payment industry in Africa and beyond.